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Your point on grants and funding is spot on. Another less-known fact is that NFSU is primarily a post-graduate institution, with a few integrated UG programs. The faculty are engaged in some amazing projects.
1. Small batch sizes
2. Lower fees freeing the students from the burden of loans
3. No domicile reservation on account of being a national institution
4. No backdoor entry via the NRI / NRI-sponsored quota
5. Locational advantage for law (by being in Delhi campus)
6. Exposure to other disciplines, complementing law
7. Funding ensures good overall infrastructure
8. Even aspiring faculty members will want to work at a national instiution
https://beta.nfsu.ac.in/Uploads/Brochure/School%20of%20Law%20Brochure%202023-24.pdf
we need to ask these questions before commenting on the yays or nays
https://news.careers360.com/cbi-internship-for-nfsu-students
https://beta.nfsu.ac.in/Uploads/news/1671789084_4d68d95762b61bc99107.pdf
There is even joint recruitment with the Enforcement Directorate and Directorate General of GST Intelligence. It goes a lot deeper than just internships.
https://enforcementdirectorate.gov.in/sites/default/files/2023-03/NFSU-ED%20Project%20Advertisement%20.pdf
https://beta.nfsu.ac.in/data/pdfs/career/Recruitment%20Advertisement%20for%20NFSU-DGGI%20Project-March-2023.pdf
Telangana CM has requested the MHA to set up a NFSU campus in Tirupati assuring full support by way of funding and land.
https://indianexpress.com/article/cities/hyderabad/ap-cm-meets-amit-shah-pitches-for-national-forensic-sciences-university-at-tirupati-8351182/
This is what a true "National" University is.
https://theprint.in/india/national-forensic-sciences-university-campus-to-come-up-in-haryanas-panchkula/1679202/
The varsity team just concluded a visit to Panchkula to select the site for the said campus.
https://timesofindia.indiatimes.com/city/chandigarh/varsity-site-expert-team-to-visit-pkl/articleshow/103098178.cms?from=mdr